This is something I will get John P, music scorer and business brain to comment on. It is the necessary and vital part of registering a company – what the requirements are, and what ordinary Joe and Joe-ess Schmoe need to know about should they wish to run a project like this.
Before I do this, when thinking about getting together a creative team to make Super Awesome Mega Battle Tank, I wanted a structure that would return the inevitably mountain of riches only an amateur, free-to-view internet movie would return to those that contributed to it.
John has registered the company as the Super Awesome Company Ltd, and my plan was to make everyone a shareholder with a pool of unallocated shares to distribute to others co-opted at a later date, and to leave the company with a certain number unallocated so there is a resting sum of money that can be used for sundry expenses as the thing spirals out of control into the Internet’s version of Waterworld.
Part of the issue I have is whether to allocate everything on a pure per head basis and we split any revenue even stevens, or whether those that come up with designs, music, writings etc that are more likely to earn money, should receive a higher percentage of those earnings than those people that may help out in ways that don’t generate dosh. As an example, perhaps those that are helping generate income get a few extra shares to compensate for this. I must stress that this isn’t in the expectation of actually earning much, but I am thinking ahead a bit.
I was talking to David Long, former guitarist for the former Muttonbirds, about this, and he says many a band has hit rocky times because the music writers who got publishing rights and the subsequent revenues, had an income out of all proportion to other band members with the subsequent ill feeling that can go with that. I think a proportionality of shares goes some ways to rewarding the creativity and work of people, but also recognises that moviemaking in particular, is hugely collaborative effort and nothing gets done without the team. There is a bit of thinking out loud here nd I would be interested in comments.
Have a good Queen’s Birthday Weekend. God save Her.